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Daily Memo:

New Medford yarn shop has English country decor

The Middleford Alley Yarn Shop has opened at 310 Middleford Alley in Medford.

The shop, owned by Sonja Tramontana and managed by Beverly Galvin, offers supplies, ideas and classes for knitting, needlepoint and counted cross stitch.

It features an English country decor with a knitting parlor where knitters and stitchers can listen to music, drink tea and work on their projects in a relaxed atmosphere.

The shop's inventory includes synthetic and natural yarns, DMC flosses, painted needlepoint canvases and counted charts.

Cafe Galleria coffee shop opens at Rogue Valley Mall

Cafe Galleria, featuring coffee and espresso drinks, has opened inside the Siskiyou Artisans store at Rogue Valley Mall.

It is open from 10 a.m. to 6 p.m. Mondays through Saturdays and 11 a.m. to 6 p.m. Sundays.

Owners Racquel and Andy Seibert offer drinks featuring locally roasted beans from Rogue Coffee Roasting.

For more information, call 774-1998.

Boeing plans to eliminate 600 jobs in Long Beach

SEATTLE — Boeing Co. will cut 600 jobs at its Long Beach, Calif., commercial aircraft plant because of reduced demand for its 717 jetliner and orders lost after American Airlines? acquisition of Trans World Airlines, company officials confirm.

Freightliner's president quits; more layoffs loom

PORTLAND — Freightliner president Jim Hebe resigned Friday, as the struggling tractor-trailer manufacturer faced the possibility of more layoffs.

Spokeswoman Debi Nicholson declined to give a reason for Hebe's departure. Rainer Schmueckle, Freightliner's finance chief from 1994 to 1997, replaced Hebe immediately but will not arrive in Portland until June 5, Nicholson said.

U.S. trade fines law leads to legal action at the WTO

WASHINGTON — A trade battle is shaping up over a law that lets American companies pocket tens of millions of dollars in fines that the government collects from foreign competitors.

Foreign governments say the law violates trade agreements and they have started proceedings against the United States in the World Trade Organization. If they win, they could cripple American companies? ability to compete abroad by imposing fines of their own on U.S. goods.

Critics warn it could unleash a flood of litigation.

Isuzu to cut 9,700 jobs after second bad year

TOKYO — Isuzu Motors, a Japanese automaker affiliated with General Motors Corp., reported a second straight year of losses and announced Monday it would cut a quarter of its global work force.

Isuzu, which is 48 percent owned by General Motors, said it would trim 9,700 jobs by 2004, close a truck plant in Kawasaki near Tokyo by 2005 and sell its headquarters building in Tokyo to raise cash.

The job cuts making up about 25.5 percent of Isuzu's 38,000 global work force will be carried out by attrition, a hiring freeze and voluntary early retirement, the automaker said. Isuzu will cut 3,300 jobs at the parent company, 2,000 at domestic dealers and 4,400 at subsidiaries and affiliates.

From staff and wire reports